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6753

Sharp TSE:6753 Stock Report

Last Price

JP¥1.02k

Market Cap

JP¥654.5b

7D

-3.7%

1Y

-33.8%

Updated

12 Aug, 2022

Data

Company Financials +
6753 fundamental analysis
Snowflake Score
Valuation5/6
Future Growth1/6
Past Performance5/6
Financial Health4/6
Dividends3/6

6753 Stock Overview

Sharp Corporation manufactures and sells telecommunication equipment, electric and electronic application equipment, and electronic components in Japan, China, and internationally.

Sharp Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sharp
Historical stock prices
Current Share PriceJP¥1,023.00
52 Week HighJP¥1,554.00
52 Week LowJP¥992.00
Beta1.4
1 Month Change-2.66%
3 Month Change-3.22%
1 Year Change-33.79%
3 Year Change-8.58%
5 Year Change-71.97%
Change since IPO-92.64%

Recent News & Updates

Shareholder Returns

6753JP Consumer DurablesJP Market
7D-3.7%-0.8%0.06%
1Y-33.8%-3.2%-2.0%

Return vs Industry: 6753 underperformed the JP Consumer Durables industry which returned -3.2% over the past year.

Return vs Market: 6753 underperformed the JP Market which returned -2% over the past year.

Price Volatility

Is 6753's price volatile compared to industry and market?
6753 volatility
6753 Average Weekly Movement3.6%
Consumer Durables Industry Average Movement3.6%
Market Average Movement3.9%
10% most volatile stocks in JP Market8.0%
10% least volatile stocks in JP Market2.1%

Stable Share Price: 6753 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 6753's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
191247,941Po-Hsuan Wuhttps://global.sharp

Sharp Corporation manufactures and sells telecommunication equipment, electric and electronic application equipment, and electronic components in Japan, China, and internationally. It operates through five segments: Smart Life, 8K Ecosystem, ICT, Display Device, and Electronic Device. The Smart Life segment offers refrigerators, superheated steam ovens, microwave ovens, small cooking appliances, air conditioners, washing machines, vacuum cleaners, air purifiers, fans, dehumidifiers, humidifiers, electric heating equipment, plasma cluster ion generators, beauty equipment, electronic dictionaries, calculators, telephones, network control units, solar cells, storage batteries etc. The 8K Ecosystem segment provides TVs, Blu-ray disc recorders, audio equipment, multi-function printers, information displays, business projectors, POS system equipment, FA equipment, options/consumables, software, masks etc. The ICT segment offers mobile phones, personal computers, tablet devices, routers etc. The Display Device segments provides display modules, in-vehicle cameras etc. The Electronic Device segment offers camera modules, sensor modules, proximity sensors, dust sensors, wafer foundry, CMOS / CCD sensors, semiconductor lasers etc. The company was formerly known as Hayakawa Electric Industry Co., Ltd.

Sharp Fundamentals Summary

How do Sharp's earnings and revenue compare to its market cap?
6753 fundamental statistics
Market CapJP¥654.47b
Earnings (TTM)JP¥91.00b
Revenue (TTM)JP¥2.45t

7.3x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6753 income statement (TTM)
RevenueJP¥2.45t
Cost of RevenueJP¥2.03t
Gross ProfitJP¥418.15b
Other ExpensesJP¥327.15b
EarningsJP¥91.00b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)140.15
Gross Margin17.09%
Net Profit Margin3.72%
Debt/Equity Ratio127.6%

How did 6753 perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

27%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 6753 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6753?

Other financial metrics that can be useful for relative valuation.

6753 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.5x
Enterprise Value/EBITDA7.6x
PEG Ratio1.7x

Price to Earnings Ratio vs Peers

How does 6753's PE Ratio compare to its peers?

6753 PE Ratio vs Peers
The above table shows the PE ratio for 6753 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average13.9x
7731 Nikon
14.9x4.1%JP¥559.2b
6952 Casio ComputerLtd
20.7x12.8%JP¥322.1b
6752 Panasonic Holdings
11.6x9.2%JP¥2.6t
7740 TamronLtd
9.2x2.1%JP¥63.6b
6753 Sharp
7.3x4.3%JP¥654.5b

Price-To-Earnings vs Peers: 6753 is good value based on its Price-To-Earnings Ratio (7.3x) compared to the peer average (13.9x).


Price to Earnings Ratio vs Industry

How does 6753's PE Ratio compare vs other companies in the JP Consumer Durables Industry?

Price-To-Earnings vs Industry: 6753 is good value based on its Price-To-Earnings Ratio (7.3x) compared to the JP Consumer Durables industry average (8.7x)


Price to Earnings Ratio vs Fair Ratio

What is 6753's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6753 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.3x
Fair PE Ratio15x

Price-To-Earnings vs Fair Ratio: 6753 is good value based on its Price-To-Earnings Ratio (7.3x) compared to the estimated Fair Price-To-Earnings Ratio (15x).


Share Price vs Fair Value

What is the Fair Price of 6753 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6753 (¥1023) is trading below our estimate of fair value (¥1443.85)

Significantly Below Fair Value: 6753 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is lower than the current share price.


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Future Growth

How is Sharp forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


4.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6753's forecast earnings growth (4.3% per year) is above the savings rate (0.04%).

Earnings vs Market: 6753's earnings (4.3% per year) are forecast to grow slower than the JP market (8.3% per year).

High Growth Earnings: 6753's earnings are forecast to grow, but not significantly.

Revenue vs Market: 6753's revenue (2.4% per year) is forecast to grow slower than the JP market (4.3% per year).

High Growth Revenue: 6753's revenue (2.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6753's Return on Equity is forecast to be low in 3 years time (10.2%).


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Past Performance

How has Sharp performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


5.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 6753 has high quality earnings.

Growing Profit Margin: 6753's current net profit margins (3.7%) are higher than last year (2.6%).


Past Earnings Growth Analysis

Earnings Trend: 6753 has become profitable over the past 5 years, growing earnings by 5.1% per year.

Accelerating Growth: 6753's earnings growth over the past year (36.4%) exceeds its 5-year average (5.1% per year).

Earnings vs Industry: 6753 earnings growth over the past year (36.4%) exceeded the Consumer Durables industry 2.7%.


Return on Equity

High ROE: 6753's Return on Equity (16.9%) is considered low.


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Financial Health

How is Sharp's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 6753's short term assets (¥1,195.0B) exceed its short term liabilities (¥876.0B).

Long Term Liabilities: 6753's short term assets (¥1,195.0B) exceed its long term liabilities (¥746.9B).


Debt to Equity History and Analysis

Debt Level: 6753's net debt to equity ratio (81.4%) is considered high.

Reducing Debt: 6753's debt to equity ratio has reduced from 194.1% to 127.6% over the past 5 years.

Debt Coverage: 6753's debt is not well covered by operating cash flow (7.7%).

Interest Coverage: 6753 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Sharp current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


3.91%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 6753's dividend (3.91%) is higher than the bottom 25% of dividend payers in the JP market (1.64%).

High Dividend: 6753's dividend (3.91%) is in the top 25% of dividend payers in the JP market (3.63%)


Stability and Growth of Payments

Stable Dividend: 6753's dividend payments have been volatile in the past 10 years.

Growing Dividend: 6753's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (27%), 6753's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: 6753 is paying a dividend but the company has no free cash flows.


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Management

How experienced are the management team and are they aligned to shareholders interests?

3.6yrs

Average management tenure


CEO

Po-Hsuan Wu (44 yo)

0.33

Tenure

Po-Hsuan Wu serves as Chief Executive Officer at Sharp Corporation since April 01, 2022 and serves as its President since July 1, 2022. Po-Hsuan Wu serves as Head of Global Business Group & Head of North &...


Leadership Team

Experienced Management: 6753's management team is considered experienced (3.6 years average tenure).


Board Members

Experienced Board: 6753's board of directors are not considered experienced ( 1.6 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 6.3%.


Top Shareholders

Company Information

Sharp Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Sharp Corporation
  • Ticker: 6753
  • Exchange: TSE
  • Founded: 1912
  • Industry: Consumer Electronics
  • Sector: Consumer Durables
  • Implied Market Cap: JP¥654.469b
  • Shares outstanding: 649.27m
  • Website: https://global.sharp

Number of Employees


Location

  • Sharp Corporation
  • 1 Takumi-cho
  • Sakai-ku
  • Sakai
  • Osaka
  • 590-8522
  • Japan

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/12 00:00
End of Day Share Price2022/08/12 00:00
Earnings2022/06/30
Annual Earnings2022/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.